VW Group misses original EU CO2 target in 2025 despite large reduction
- Matthias Schmidt
- 9 hours ago
- 1 min read
According to Volkswagen Group data, the automotive group, would have failed to meet its the 2025 EU fleet CO2 emissions compliance targets, compared to an industry-average weight-based fleet target of 93.6g/km, despite €0.5bn set aside to accelerate that reduction. The group which comprises of the likes of Volkswagen brand, Audi, Porsche, Škoda and Seat/Cupra among others achieved an average of 100g/km during 2025, falling from 118g/km in 2024.
However, due to the bank-and-borrow flexibility mechanism put in place between 2025 and 2027, which allows OEMs to under-comply in certain years and make up the difference in other years, VW Group will not be subject to any fines in 2025.
An accelerated BEV push, and consequently a further reduction in CO2 fleet emissions, is expected from 2026, thanks to the Core-group urban-car rollout, along with the significance of those models being offered with LFP chemistries, which will lower costs, improve BEV margins, and reduce provisions being put aside to meet the targets.
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Source: Schmidt Automotive Research
*Western Europe 18 Markets: EU Member States prior to the 2004 enlargement plus EFTA markets Norway, Switzerland, Iceland, plus UK
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